German foundation withdraws from Nord Stream 2 project

A German public foundation set up to help Russia’s Gazprom complete the Nord Stream 2 gas pipeline wants to pull out of the project.

That reports Reuters, reports Ukrinform.

The foundation “wants to pay 12 million euros ($12.10 million) to settle its debts to the company’s subsidiary Nord Stream 2 AG,” the report said.

The foundation had not yet made it clear whether it would be hindered by sanctions laws from transferring the money. Founded in 2021 with a donation of 20 million euros from Nord Stream 2 AG and 200,000 euros from the state government of Mecklenburg-Vorpommern, the foundation had a commercial arm to purchase and own assets needed to complete the project.

Also read: MFA: Canada’s decision to return the turbine for: North Stream will reinforce Russia’s sense of impunity

Erwin Sellering, the head of the foundation, said his institution wants to cut all connections with Nord Stream 2 after paying 12 million euros in debt to Switzerland-based Nord Stream 2 AG, which completed the pipeline under the Baltic Sea last year.

Approximately EUR 10 million of the total amount is attributable to proceeds from the sale of machinery, equipment and materials and the purchases that Nord Stream 2 had once financed.

In addition, the foundation will repay 2 million euros to the company that it had accepted in advance payments.

In March 2022, Nord Stream 2 AG went bankrupt.

Leave a Comment